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Perdue: no new budget (audio)

For the past couple weeks, one of the most rampant rumors on Jones Street not involving former Rep. Cary Allred has involved Gov. Bev Perdue.

No - nothing about cheladas in this one.

The honorables have been abuzz with the possibility that Perdue might submit another budget to the General Assembly. The logic to the rumor is that North Carolina's fiscal picture has changed so much since Perdue unveiled her spending plan in March that she wants another bite at the apple.

It kind of makes sense, in that the state is looking at a revenue picture that is about $1 billion worse than the picture Perdue was looking at.

But so much for the rumor mill.

"I would never submit another budget," Perdue said this morning. "That's a wonderful rumor and I hear the General Assembly is just all over it because it's motivated them to push harder and maker tougher decisions quicker."

That said, Perdue added that she has been spending "quality time" with her budget staff to draw some bright lines on what she would find acceptable and what kind of cuts to spending she would oppose.

So, would she be looking to see a broad-based tax increase in the next budget?

"The budget I sent to the General Assembly did have a fairly significant tobacco tax and also a tax on beer and wine," she said. "So from day 1, I have believed that you have to have some new mix of revenue to solve the problem.

"I believe the voters in North Carolina want cuts, they want massive cuts, but they don't want to cripple the work of the state and the future of the state," Perdue said.

Click here to listen to 5 minutes of WRAL's Cullen Browder and I quizzing the governor after the Council of State meeting today.